Canadian Market Pares Early Gains, Up Marginally

(RTTNews) - The Canadian market, which opened modestly higher Thursday morning and moved further up in early trades, shed most of its gains as the day progressed and is just modestly up around now with stocks failing to hold early gains.

The early uptick came after data from the U.S. Labor Department showed the consumer price inflation rose less than expected in the month of July, raising hopes the Federal Reserve will hold rates unchanged at its September meeting.

A report showing an increase in weekly jobless claims in the U.S. boosted further the outlook for interest rates.

The benchmark S&P/TSX Composite Index, which climbed to 20,444.64 earlier in the session, is up 31.28 points or 0.15% at 20,306.55.

Communications and consumer staples shares are among the major gainers. Several stocks from financials and technology sectors are also notably higher, while healthcare and consumer discretionary stocks are weak.

Quebecor Inc (QBR.B.TO) is up 4%. The company reported adjusted EBITDA of $605.2 million for the second quarter of this financial year, up$113.8 million or 23.2%, compared to the year-ago quarter.

Cogeco Communications (CCA.TO) is gaining 2.2%, Telus Corp (T.TO) is up 1.5% and Rogers Communications (RCI.B.TO) is advancing 1.25%.

In the consumer staples section, Primo Water Corp (PRMW.TO) is surging 8.65% on strong results. The company reported adjusted second-quarter net income and adjusted net income per diluted share of $39 million and $0.24, respectively, compared to $33 million and $0.21, respectively, in the year-ago quarter.

Empire Company (EMP.A.TO) and Alimentation Couche-Tard (ATD.TO) are gaining 2% and 1.8%, respectively.

In the financials sector, Power Corporation of Canada (POW.TO) is up 1.3%. Manulife Financial (MFC.TO), goeasy (GSY.TO), CDN Western Bank (CWB.TO), Toronto-Dominion Bank (TD.TO) and Bank of Nova Scotia (BNS.TO) are also notably higher.

Canadian Tire Corporation (CTC.TO) reported diluted earnings per share of $1.76 in the second quarter of this financial year, compared to $2.43 in the year-ago quarter.

Keyera Corporation (KEY.TO) is up 1% after the company reported second-quarter net earnings of $159 million, compared to $173 million a year ago.

Onex Corporation (ONEX.TO) reported net earnings of $132 million for the second quarter ended June 30, 2023, compared with net loss of $184 million in the year-ago quarter. The stock is up marginally.